Sony CFO Boasts About $5 Billion Budget, Expects PS5 Hardware Sales to Top 60 Million Units

[T0@st]

Sony executive deputy president and CFO Hiroki Totoki made a number of declarations at the Morgan Stanley Technology, Media & Telecom Conference that took place on March 6, 2023. Totoki-san outlined corporate strategies for the Japanese technology and entertainment giant. During a discussion about Sony Group Corporation's investment budgets, he stated that 700 billion Yen has been allocated to spend strategically across several company divisions in 2023, this converts to just over 5 billion US dollars. This represents the remainder of a 2 trillion Yen budget that was announced back in 2021, as a three year long strategic investment plan.



Buoyed by very encouraging sales figures for its Playstation 5 Home Console, Totoki predicted continued growth for the PS5's lifespan unit sales: "I think we have a good chance to exceed 60 million units, and as you may know, we sold more than 100 million units in the era of the PS4." He also expects more of the Playstation 4's massive userbase to move onto the successive console in the coming years: "We have extremely loyal users on PS4 [that could move to PS5]. We have built the PS5 to deliver a better user experience and surprisingly, current proportions for the PS5 show that 30% of PS5 owners do not have a PS4. We have captured new user acquisition with PS5. That provides us with a good potential with the PS5's ecosystem expansion and increased penetration."

He also addressed potential sales growth of the Playstation 5's virtual reality headset: "With the Playstation VR1, we sold over five million units, and I think we have a good chance to exceed that number with PlayStation VR2." Industry forecasts have indicated that the virtual reality device market is expanding swiftly. Totoki has paid notice to these upward trends, and is confident that the Playstation VR2 is positioned well for continued success.



Hiroki Totoki will be succeeding Kenichiro Yoshida as President and Chief Operating Officer of Sony Corporation, on April 1, 2023.

View at TechPowerUp Main Site | Source

 

[Firedrops]

nvidia: Bububut Moore's Law is dead! Gaming starts at $1000, minimum! Inflation!

 

[sephiroth117]

A 500 (550 EUR) console that can run games in 1440p/60fps or even 4K in certains modes (30 fps usually), with a 5.5G/s SSD and 16GB of GDDR6 unified memory...
Can't beat that, at least not now.

We have captured new user acquisition with PS5. [30% of PS5 owners]

Yes, people disillusioned with the price of modern GPU...and xbox owners disillusioned with the lack of proper new games.

I do however think the VR2 headset needed a better launch line-up, beating the 5M PSVR1 figure is not really hard, it's expanding the VR market, making it mainstream that is hard.
If they just want 5-10% of PS5 owners to have a VR2, then it will still stay niche and we won't really see proper new AAA tailored for it, just VR modes mostly.
(I don't have the VR2 and don't plan to purchase it given the line-up for now)

 

[Veseleil]

Of course he is, because humans proved themselves becoming more stupid day by day.

 

[trsttte]

A 500 (550 EUR) console that can run games in 1440p/60fps or even 4K in certains modes (30 fps usually), with a 5.5G/s SSD and 16GB of GDDR6 unified memory...

It's always like that at the start of a new console generation

I do however think the VR2 headset needed a better launch line-up

Horizon Call of the Mountain seems amazing, but yeah, they also need quantity along with quality. They should at least have made the old psvr games compatible, shouldn't be all that hard given how they run on much lower specs with the weird hdmi converter box, then measure the interest and pump a couple of improved ps5 versions.

 

[Readlight]

Only 60 milion

 

[FreedomEclipse]

The thing with press releases/statements like these is they arent for the average joe but more for the investors, shareholders or future shareholders and investors.

They need to keep bragging to keep people pouring big mega kahuna bucks into the company.

And one thing shareholders and investors like to hear is GROWTH

Growth comes in many forms. Even firing a tonne of customer service or QA staff -- Still 'Growth' - Growth if youre a company Exec still with a job.

 

[mb194dc]

Sony dod very well out of the covid lockdowns and stimulus, decline after like a lot of tech. They'll bust a lot less than some other tech companies imo.

PS5 at less than $500 still does OK in a bad economy.

Nvidia trades at a PE of what ,140? Good luck with that.

Sony net income for the twelve months ending December 31, 2022 was $6.839B, a 13.07% decline year-over-year. Sony annual net income for 2022 was $7.851B, a 28.72% decline from 2021.

 

[medi01]

Only 60 milion

PS5 was released in November 2020, 7 years after PS4, and sales were production constrained up until now.

60 million is an amazing result for two years and a bit.

 

[sepheronx]

PS5, while a decent system, lacks good games. Yeah, I know, good games is up to the individual, but all their games is same generic open world third person style game.

That said, at least they have (some) games as opposed to Microsoft.

This gen (even last gen honestly) was just boring. Maybe everything has already been done and they ran out of ideas.

But PS5 is clearly the better console and especially if you already have a decent PC.

 

[BArms]

PS5, while a decent system, lacks good games. Yeah, I know, good games is up to the individual, but all their games is same generic open world third person style game.

That said, at least they have (some) games as opposed to Microsoft.

This gen (even last gen honestly) was just boring. Maybe everything has already been done and they ran out of ideas.

But PS5 is clearly the better console and especially if you already have a decent PC.

I'm really disappointed Sony isn't releasing a remastered Bloodborne. They could have at least released a 60 FPS patch by now, instead it appears more and more that they're going to greedily save the IP for the PS6 whenever it comes out 5 or 6 years from now.

 

[tussinman]

PS5 was released in November 2020, 7 years after PS4, and sales were production constrained up until now.

60 million is an amazing result for two years and a bit.

No he's saying he expects for it's entire life cycle to sell at least 60 million. He's not saying it's about to or it's done it in 2 years and a bit

 

[medi01]

No he's saying he expects for it's entire life cycle to sell at least 60 million. He's not saying it's about to or it's done it in 2 years and a bit

Ah, mea culpa. It's 30 million so far.

 

[swaaye]

Horizon Call of the Mountain seems amazing, but yeah, they also need quantity along with quality. They should at least have made the old psvr games compatible, shouldn't be all that hard given how they run on much lower specs with the weird hdmi converter box, then measure the interest and pump a couple of improved ps5 versions.

I dunno. It sounds like it's basically a new take on a VR climbing game and gets old fast. It's not much like the main Horizon games.

I think there are a lot of problems with trying to make PSVR1 games work with PSVR2 hardware. It is so much different. Just look at the Move controllers and how awful their control scheme is. Also the way the Move camera tracks everything, including the DualShock4 controller's beacon light that most games use. The PSVR2 doesn't work in the same way at all. The games probably just need to be reworked to be acceptable.